Microsoft Hikes Prices on All Standalone On-Premises Server Products

Microsoft Increases Pricing on On-Premises Server Products

In a strategic move aimed at reinforcing its cloud-first approach, Microsoft has been encouraging enterprises to migrate to cloud services for several years. However, it’s worth mentioning that the company continues to offer on-premises server solutions to meet diverse business needs. Today, Microsoft announced an upcoming price realignment for its on-premises server offerings.

New Price Adjustments

Microsoft plans to raise the prices of its standalone on-premises server products—including SharePoint Server, Exchange Server, and Skype for Business Server—by 10%.This adjustment is said to support ongoing maintenance and regular updates for these products, set to take effect in July.

Subscription Editions and Licensing Options

Starting in July, Microsoft will also officially launch the Subscription Edition of Exchange Server and Skype for Business. Notably, both Exchange Server 2016 and 2019 are approaching their end-of-support date of October 14, 2025. Consequently, enterprise customers requiring an on-premises version of Exchange Server are encouraged to invest in Exchange Server SE via one of the following licensing options:

License (Server and CALs) + Software Assurance (SA) for Exchange Server 2016/2019: Maintain SA to ensure usage rights and access to Exchange Server SE and future updates.
License (Server and CALs) + SA for Exchange Server SE (post-release): Maintain SA for the new Exchange Server SE to secure usage rights and updates.

Core CAL Suite Increases

In addition to server products, Microsoft is applying a price increase of 15% to the Core CAL Suite and 20% to the Enterprise CAL Suite. These changes will also take effect on July 1, 2025.

No Changes for Cloud Services

It’s important to highlight that there will be no price adjustments for SharePoint Online, Exchange Online, or Microsoft Teams cloud services. This move seems to reflect Microsoft’s ongoing commitment to promoting cloud solutions while still catering to those organizations that require on-premises options.

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